Can Paypal Legally Do This?
Discussion
According to Paypal, I have overused my account in the last year and have got to a limit (3300 US Dollars). According to this limit, they consider me a money launderer unless I provide personal details, set up direct banking and confirm my phone number.
Now, because this limit has been met, They have stopped me from making any outgoings from my account. They will accept incomings however, notably, £400 from selling my DSLR this week to. This money is locked in my account and they will not let me withdraw it until I provide said information.
Do they have any legal right to deny me access to my money? Do I legally have to provide this information and setup said services?
Thanks
Now, because this limit has been met, They have stopped me from making any outgoings from my account. They will accept incomings however, notably, £400 from selling my DSLR this week to. This money is locked in my account and they will not let me withdraw it until I provide said information.
Do they have any legal right to deny me access to my money? Do I legally have to provide this information and setup said services?
Thanks
chris_w666 said:
If you are you have nothing to worry about just do what they ask.
Where have I heard that before......? 3300 dollars is only about 1700 pounds...if he's sold a car for 2 k would he still have to prove his bona fides..? Isn't the limit in a proper shop something like 8 grand?esselte said:
chris_w666 said:
If you are you have nothing to worry about just do what they ask.
Where have I heard that before......? 3300 dollars is only about 1700 pounds...if he's sold a car for 2 k would he still have to prove his bona fides..? Isn't the limit in a proper shop something like 8 grand?I suppose its in the small print somewhere.
No, I have nothing to hide, but as said, $3300 is a very small ammount, and considering this is a limit which is allocated on a yearly basis, its quite easy to hit it.
I have reached it due to selling cars. £200+ Deposits taken via paypal every now and then soon add up, plus various other bits and bobs such as the camera etc.
My question is, can they legally stop me from accessing the money in the account? AS said, I dont really want to set up all of the features they want me too. I wont benefit in anyway from them so why should I?
I have reached it due to selling cars. £200+ Deposits taken via paypal every now and then soon add up, plus various other bits and bobs such as the camera etc.
My question is, can they legally stop me from accessing the money in the account? AS said, I dont really want to set up all of the features they want me too. I wont benefit in anyway from them so why should I?
This is exactly what happened to me a year ago. I got a few warnings, then they froze my account (with about £600 in it) and demanded a credit card number. I didn't see why they should have this, as they already had my bank details which AFAIK is proof of ID. My account was both Premium and Verified, meaning that they were already happy that they knew where I lived.
I ended up having a circuitous discussion with some Irish bloke who sounded like Leary of RyanAir and was slicker than WD40. No progress.
Paypal is however regulated by the FOS, to whom I complained, and whether or not it did any good, after 6 months my money was released. I promptly cleaned out my account and swore never to go back.
The cynical side of me thinks this 'money-laundering' thing is just a ruse to get personal details. They already have POD, credit cards can be stolen, and anyway, as I discovered, you can simply satart another Paypal account with a different e-mail address. This totally drives a coach and horses through any idea they might have that they are preventing money laundering!
And ponder this. Your ordinary bank account, into which your salary is paid each month, quite happily accepts many thousands of pounds in and out every year. Do they ask for your credit card and bleat about 'money laundering'? No they do not.
I ended up having a circuitous discussion with some Irish bloke who sounded like Leary of RyanAir and was slicker than WD40. No progress.
Paypal is however regulated by the FOS, to whom I complained, and whether or not it did any good, after 6 months my money was released. I promptly cleaned out my account and swore never to go back.
The cynical side of me thinks this 'money-laundering' thing is just a ruse to get personal details. They already have POD, credit cards can be stolen, and anyway, as I discovered, you can simply satart another Paypal account with a different e-mail address. This totally drives a coach and horses through any idea they might have that they are preventing money laundering!
And ponder this. Your ordinary bank account, into which your salary is paid each month, quite happily accepts many thousands of pounds in and out every year. Do they ask for your credit card and bleat about 'money laundering'? No they do not.
Edited by Simpo Two on Friday 8th August 21:40
Simpo Two said:
Paypal is however regulated by the FOS, to whom I complained, and whether or not it did any good, after 6 months my money was released. I promptly cleaned out my account and swore never to go back.
Was regulated. I thought they moved to Luxembourg to get round all the regulatory bodies.
tinman0 said:
Simpo Two said:
Paypal is however regulated by the FOS, to whom I complained, and whether or not it did any good, after 6 months my money was released. I promptly cleaned out my account and swore never to go back.
Was regulated. I thought they moved to Luxembourg to get round all the regulatory bodies.I just rang the FOS and got a pretty quick affirmative reply. Suggest the OP does the same.
Deluded said:
I have reached it due to selling cars. £200+ Deposits taken via paypal every now and then soon add up, plus various other bits and bobs such as the camera etc.
Deluded said:
Yes, the next level of account is buisness, which I am not, hence another reason I cannot/do not want to give personal information.
In your mind you might not be a business, but to paypal and more importantly the inland revenue, you might well be. £1700 at £200 a car is 8 cars, not many people sell 8 cars a year unless they are trading.Edited by bingbong on Friday 8th August 22:30
Simpo Two said:
tinman0 said:
Simpo Two said:
Paypal is however regulated by the FOS, to whom I complained, and whether or not it did any good, after 6 months my money was released. I promptly cleaned out my account and swore never to go back.
Was regulated. I thought they moved to Luxembourg to get round all the regulatory bodies.Its not all £200 deposits for cars. I sell alot of s
t on ebay, msot of which is paid via Paypal and it all adds up.
The phone thing doesnt work unless you use the phone at the address your card is registered to.
I also have to set up direct banking, which I am not too happy about as it gives paypal direct access to my bank account.
t on ebay, msot of which is paid via Paypal and it all adds up.The phone thing doesnt work unless you use the phone at the address your card is registered to.
I also have to set up direct banking, which I am not too happy about as it gives paypal direct access to my bank account.
Simpo Two said:
And ponder this. Your ordinary bank account, into which your salary is paid each month, quite happily accepts many thousands of pounds in and out every year. Do they ask for your credit card and bleat about 'money laundering'? No they do not.
Well they do require you to provide ID when you open a bank account. The only difference here is that PayPal are letting you use the account for a while before requesting it.Gassing Station | The Pie & Piston Archive | Top of Page | What's New | My Stuff